The long-delayed rebuilding of Venice's La Fenice opera house has been halted by the city's mayor.

The historic opera house, burnt down in January 1996, was supposed to have been rebuilt by the German-Italian consortium Holzmann Romagnoli by February 1999.

Recently the consortium asked for a further 30bn Lira (£10m) to finish the work and also asked for penalty payments for lateness to be waived.

So much local and national prestige depends on rebuilding this theatre

John Millerchip, Venice in Peril

On 20 March Venice's mayor Paolo Costa decided that the project had taken too long and is once more offering the work out for tender.

Renowned

One the night of the 1996 fire, the then mayor Massimo Cacciari promised that La Fenice would be rebuilt within two years.

The building, which housed the first performance of Verdi's La Traviata and Rigoletto, was renowned for having one of the finest acoustics in the world.

After the fire, stars including Luciano Pavarotti and Woody Allen offered their support and fund-raising efforts were held worldwide.

It is five years since the fire

The first rebuilding contract went to Italian construction company Impregilo but after work had begun there was a legal challenge to the tender decision.

Circus tent

In February 1998 a court decision gave Holzmann Romagnoli the job, though another bidder's legal challenge further delayed the work.

The La Fenice company is still performing in a huge circus tent on the Venice docks.

The company's director Isaak Karabtchevsky said recently: "Each year that passes I am even less optimistic about the re-opening.

"I don't think it will happen in my lifetime."

But John Millerchip, a trustee of Venice in Peril told BBC News Online: "So much local and national prestige depends on rebuilding this theatre that sooner or later they will have to find the right road."

The London-based charity is one of the organisations that raised funds for the rebuilding, though to date the work has entirely been funded by the Italian government.